Take a look at this survey conducted by Baymard Institute on the reasons for eCommerce cart abandonment:
Every reason on this list has a simple fix, and we will cover them in this article. Reducing cart abandonment will automatically increase the eCommerce conversion rate.
A survey of 4,191 eCommerce stores by Littledata in February of 2022 found that the average conversion rate was 1.5%. Interestingly, the same survey also found that 20% of these stores had a conversion rate of 3.6% or higher. So 80% of these stores were converting less than half of what 20% of their peers were.
There could be many reasons for this dip, but more often than not, the reason is an oversight. Brands can increase their conversion rate considerably through a small number of minor adjustments. We cover seven such tricks in this article and also tell you how to implement them.
#1 Personalization is guaranteed to increase conversions
Personalizing content and experience will have a profound effect on CX. Showing irrelevant products adds extra steps to the customer's journey - they now have to search, sort, and filter through products they don't want to find what they are looking for. Adding steps to a consumer's journey from intent to purchase will increase the chances of the user bouncing off to another site.
Don't just take our word for it; a study by SmarterHQ found that 47% of consumers move to Amazon if the site they’re shopping on doesn’t provide product suggestions that are relevant to them. A separate study by Epsilon found that 80% of consumers are more likely to purchase from a brand that provides personalized experiences.
How to get this done
Personalization in the context of eCommerce involves delivering dynamic content. It is tailoring product recommendations, offers, and content to suit the website visitor. There are many AI-based tools available that study a user's past interactions and the interactions of visitors with a similar profile to the user to filter and display products they are most likely to be interested in.
You can also recommend products based on category affinity after a user has added a product to their cart. This is a great way to make cross-sells, and Amazon uses this method to increase conversions.
#2 Don't limit your brand, start social selling
Marketplaces like Amazon are popular because they enable consumers to shop for a wide range of products under one roof. Consumers don't want to move from one platform to another looking for products; they want to stay where they are and complete their shopping journey from one location. And this expectation extends to social media.
As of January 2022, 4.62 billion people worldwide use social media and, on average, spend a minimum of two hours a day on some social media platform. It's glaringly obvious that eCommerce stores need to be active on social media to increase brand visibility.
The challenge, however, is not increasing visibility on social media but convincing users to leave the social platform they are on and visit the website to complete a purchase.
How to get this done
This is where social selling comes in. In the context of eCommerce, social selling is selling products directly on social media platforms like Facebook and Instagram. You enable consumers to check out and purchase products right on the social platform without redirecting to the store.
You can do this by listing your products on inbuilt marketplaces like Instagram Shopping or Facebook Marketplace. While this may reduce website visits, it will increase eCommerce conversions, which, after all, is the end goal.
#3 Provide multiple discount options
It's frustrating when a discount code that's entered gets rejected because it is 'invalid' or has 'expired'. It's understandable why brands create limited-time coupons; you cannot be expected to run a sale indefinitely. But it is also important to accept that very few consumers will rush to make a purchase the moment they receive a coupon over business email or through an ad. You have to plan for the larger group of people who will try the coupon in a few days, weeks, or even months.
How to get this done
The way to ensure your consumers don't abandon the cart because of a failed coupon is to give them multiple coupons.
Firstly, track all coupons you create and the users who have received them. When a coupon is about to expire, run an email campaign telling these consumers they only have a few days left to use it. This will not only inform them of the expiring coupon, but it will also create a sense of scarcity, the feeling of FOMO (Fear Of Missing Out), which will drive them to visit the store.
Once the coupon expires, send out another email giving them a new code. Better yet, give them multiple discount options.
Lastly, if you have a long-term discount code, add it to the checkout page. This way, if a coupon does fail, users can just pick up the code from the checkout page and get an off on the price. Another way of dealing with coupons to keep your audience interested in your product is through coupon marketing.
#4 Use social proof to establish credibility
You will not believe the impact a product review section can have on an eCommerce store. A study by Bazaarvoice found that the conversion rates of product pages with reviews are up to 3.5 times higher than those without. Another study by Oberlo stated that close to 55% of online shoppers read at least four product reviews before purchasing a product.
While reviews are important for any business, they are an absolute necessity for eCommerce stores. When you sell a product, buyers want to know they are paying for the best, and the only way for them to know that is through their peers. So, always have a section of landing page testimonials on your website.
How to get this done
Firstly, make it a point to actively collect product reviews and brand testimonials. When a consumer makes a purchase, ask them to review their shopping experience. This becomes a brand/service testimonial.
Once they have received the product and used it, ask them to drop a product review. Customers who are happy with the service and product will be more than willing to give you a review.
Lastly, showcase reviews specific to a product on the product page. Ensure the overall rating and number of reviews are high up on the page so that visitors see it as soon as they land on the product page.
#5 Allow for guest checkout
The second highest reason for cart abandonment (as seen on Baymard's list) is that users were forced to create an account.
Consumers today are wary about revealing personal information, especially to brands they are interacting with for the first time. It's understandable why eCommerce stores require users to create an account - it's how you can track user behavior and get vital data needed for personalization and marketing. But if it is costing you conversions, it's better to defer account creation for later.
How to get this done
Allow guest checkouts on your online store. You can still collect important info like their name and email address for online invoices, which gets your foot in the door with a customer. You can always nurture a customer to create an account once you have their email address.
#6 Show consumers their checkout progress
The third most common reason for cart abandonment (as seen on Baymard's list) is experiencing a long checkout process. It's a rule of thumb - the more steps you add from intent to purchase, the higher the chances of losing a customer.
This applies to checkout as well; the longer the process from 'add to cart' to 'pay,' the higher the chances of losing a customer. You can do two things to alleviate this issue: one is to simplify the checkout process, and two is to show users their progress.
How to get this done
First, plan out what information you need to complete a delivery. Be stringent; only ask for what is required.
Next, divide the fields into different groups and display them one at a time. Yes, this adds more steps to the user's journey, but displaying all fields on one page will overwhelm the user, and this can be counterproductive. A good balance is to maintain three sections - product info, personal info, payment info.
Lastly, provide visual cues that indicate how many steps are in the checkout process (see the image above). A simple progress bar that increases as they proceed or just mentioning 'Step 1 of 3' will let consumers know exactly how much time they have to invest, which will help reduce cart abandonment.
#7 Give consumers multiple options for payment and delivery
Amazon, for example, gives consumers two delivery options - regular delivery and express (same day) delivery, where regular delivery is free, and same-day delivery is for Prime members.
This may seem insignificant, but actually has a big impact on conversions. When a consumer selects the free delivery option, they get the feeling of having saved money on the Prime account. In essence, they haven't saved any money, but the feeling of not having spent an extra amount for same-day delivery creates the sense of having saved money. This distracts them from any other doubts they might have about completing the purchase, and they go ahead and pay.
This has another effect - it gives consumers who need products urgently the option to get them immediately. Consumers then feel indebted to Amazon, and this builds brand loyalty.
How to get this done
Work with your delivery partner to create different delivery options like same-day delivery, express delivery (maybe within the hour), regular delivery, delivery at the office, anonymous delivery (in case of gifts), etc. Then allow consumers to select from these options at the checkout.
Conclusion
While these seven are the ones we found to be highly impactful, you can also try other methods that have proven to work in the past:
- Offer samples for free, especially if you're a new brand.
- Run retargeting campaigns to engage cart abandoners. You can give them discounts to nudge them towards a purchase.
- Make sure you allow multiple payment options.
- Give consumers the option of returning products. This increases trust and reduces last-minute resistance.
And there you have it, a total of 11 incredible tricks you can implement right away to increase eCommerce conversions.
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